Euro Fracture: A “Tea Party” Revolt?

Much has been written about the growing anger and political strife within the highly indebted European periphery. The FT reports today about the growing anger and resentment in the countries financing the bailouts,

Even among Brussels' tightly-knit cadre of European Union operatives, Timo Soini is not particularly well known…[in] the European parliament, where he is a member from Finland.

But by this time next month, Mr Soini could be the new face of Europe. True Finns, the party he heads, is within striking distance of becoming Finland's largest bloc in national elections on April 17 - using a potent mix of economic populism and anger at recent EU bail-outs.

"We have been doing our homework: we don't have a budget deficit, we have done quite well tackling unemployment," says Mr Soini in his spartan Brussels office, whose walls are adorned only with a Christian cross and a photograph of his young children. But nations such as Greece, whose previous government falsified economic data, had not. "Now [we must help] those people who have lied - this is the suspicious mind up north, because quite many people think the south is milking our cow."…

That public resentment is threatening to destabilise governments in Germany, Finland and the Netherlands just as the EU enters the final stretch of negotiations over a much-touted "comprehensive package" of reforms aimed at, once and for all, putting an end to the Eurozone's debt crisis

The Global Macro Monitor has consistently maintained that the future of the Euro of today will be determined by the politics in both the periphery, where austerity fatigue could cause big problems, and the core, where resentment over the bailouts is increasing. Stay tuned.